BITRIBITRI places high regard on its human capital, so to ensure a happy, motivated and engaged...

BITRIBOTSWANA INSTITUTE FOR TECHNOLOGY RESEARCH AND INNOVATION

Botswana Institute For Technology Research and Innovation

Botswana Institute for Technology Research and Innovation (BITRI) Annual Report 2014/2015

2

Mission

To conduct needs-based technology research that provides sustainable innovative

solutions through co-creation and collaboration

Vision

To be the leading technology solutions provider that transforms lives

Values

Creativity

Professionalism

Team Work

People-Centric


3

CONTENTS

Page

Board Chairperson Remarks 5

Message from the CEO 7

Board of Directors 8

Management 9

Introduction 10

Divisions and Departments

Building Materials Science 11

Electronics & Information Communication Technology 13

Energy 17

Environment & Climate Change 22

Nanomaterials 26

Corporate Services 28

Research and Partnerships 29

Financials 36


4

Board Chairperson Remarks

Prof. Otlogetswe Totolo


5

BITRI is a high performance organisation that has brought together outstanding scientists and engineers to conduct technology research aimed to improve the quality of life of Batswana. The expectations of the Board of Directors and the major shareholder, the Government of Botswana are clear that BITRI’s Technology Research should solve the key problems facing our country.

Looking back at the 2014/15 financial year, BITRI was in its first year of operation in which it delivered impressive results in its recruitment, governance as well as developing its technology research programme, despite having limited financial resources. BITRI began with a national value-gap analysis in order to identify key challenges facing the nation. This followed an internal consultative process to develop its strategic plan that identified the vision, mission, strategic objectives and initiatives that would be focused on over the 5-year period. Working with and for their stakeholders; co-creating together, must continue to remain a major priority for BITRI. A number of benchmarking visits and partnerships were initiated with key international partners in Asia, Europe and Africa as well as local stakeholders that would quickly advance the research agenda during the initial stages so as to deliver technology solutions for the nation’s challenges.

There are, however, a number of challenges that the Board and Management will have to focus on strategically in the years ahead; for example rationalising the investment necessary to build a world class research organisation that will both deliver impact and communicate the value of that impact to all of its stakeholders. The Board renews its commitment to ensure that BITRI is sufficiently resourced to deliver sustainable solutions to Botswana’s problems. To this end, I acknowledge support from the Government of Botswana during BITRI’s formative years. The organisation has undergone a major face lift (literally) to create office space and the laboratories for its Building Materials Group, Materials Research Centre and Minerals Beneficiation Centre. There are still areas that need to be refurbished, the resource centre, the cafeteria, and the BITRI B campus as a whole. The Board and Management will have to identify and prioritize the key capital investments that are necessary to produce the types of technology solutions and gain recognition as the “go to” research organisation in Botswana and Africa.

This report highlights some examples of how BITRI, in collaboration with partners is addressing challenges of renewable energy access in rural villages, rolling out affordable building materials, providing youth employment opportunities, preserving culture with indigenous games and promoting public awareness of science and technology. It is important that BITRI benchmarks itself against the best international technology research organisations; this will allow the organisation to set bold but attainable targets, have expectations that it must succeed, and also importantly identify those areas in which we need to advance.

In conclusion, on behalf of the Board of Directors, let me take this opportunity to thank and congratulate the CEO and his Team for producing the 2014/15 Annual Report of the organisation’s activity during that period. As the Board, I am satisfied that BITRI has made the kind of start that clearly demonstrates that it is indeed a high performance organisation. The financial statement of the organisation affirms that it is satisfactorily following fiscal processes and practicing good governance. The Board is aware that the organisation has assessed and improved its business systems to better manage the risks it faced. The Board will continue to work with the Management to focus on areas that will result in future growth of the organisation, for example building and transforming the BITRI human capital, better financing research and operational initiatives, collaborating with world class research institutions and concentrating on intellectual property and income generating business opportunities. I wish to also extend our gratitude to the Ministry of Infrastructure, Science and Technology (MIST) and its leadership team for their unwavering support and their commitment to ensuring that BITRI delivers on its mandate. Finally, I would like to thank the staff and management of BITRI for their hard work. I wish them well as they continue to develop technology solutions to improve the lives of all Batswana.

Prof. Otlogetswe Totolo

Board Chairperson


6

Message from the CEO

Nelson Torto, PhD, FAAS, FRSC


7

It is with gratitude that I present the 2014/2015 annual report of the Botswana Institute for Technology Research and Innovation (BITRI). The report gives an overview of events and activities that took place during the financial year.

The main tasks for 2014/2015 were to further develop policies and guidelines to ensure that BITRI complied with corporate governance, recruit the right people, rationalise for office space and research infrastructure as well as to develop a strategic plan for the organisation. As a people centred organisation, partnership building with various stakeholders was of major importance as BITRI values co-creation with the end-user of its products. Therefore BITRI conducted a nation-wide value gap analysis in order to identify challenges that Batswana faced in their daily lives. To conclude the consultation process, in July 2014 BITRI hosted a stakeholder workshop to share the outcomes of the value gap analysis, which then became the foundation on which the BITRI strategy was developed.

The main challenge in 2014/2015 was the recruitment of research staff as the required pool of expertise with the necessary level of experience is limited in the market and, therefore, BITRI had to compete with other institutions. Notwithstanding the challenge, by the end of the reporting period BITRI had a staff complement of eighty six (86) employees, the majority being researchers. I’m glad to say the recruitment drive yielded a diverse team of researchers and support cadre from within and outside the country.

BITRI places high regard on its human capital, so to ensure a happy, motivated and engaged workforce as well as to attract and retain staff, a Staff Welfare Committee was established to continuously explore ways in which staff welfare concerns could be addressed. At BITRI we sincerely believe that if one lives well, they are bound to work well. BITRI encourages and promotes a culture of team spirit amongst its employees to ensure that they all work towards the same goal of taking the organization to the next level.

In conclusion I would like to assure you, our stakeholders that we at BITRI will endeavour to continue to carry out our mandate to the best of our ability as well as produce technologies that address the needs of the economy of Botswana. Co-creation will remain our motto to ensure that the technologies we produce are relevant and timely. I also hope that more funding will be made available for research so that BITRI can meet the expectations of Batswana. My organisation has an important role in contributing to social innovation by addressing poverty, the lack of employment, public service delivery and will participate in social development initiatives through various initiatives.

Nelson Torto, PhD, FAAS, FRSC

Chief Executive Officer


8

Board of Directors

Professor Otlogetswe Totolo

Board Chairperson

Mr. Mao SegageMember

Ms. Latelang Kelebogile ChakalisaMember

Professor Nelson TortoChief Executive Officer

Professor Brian MokopakgosiMember

Ms. Mercy Bothojwame ConlonMember

Dr. Mpaphi Casper BonyongoMember

Ms. Keitseng Nkah MonyatsiMember

Dr. Martin Mosinyi KebakileMember

Mr. Edwin EliasMember


9

Management Team

Professor Nelson Torto

Chief Executive Officer

Professor Shedden MasupeExecutive Director,

Technologies

Mr. Godfrey K. MosimaneotsileDirector,

Corporate Services

Dr. Jose Jackson-Malete PhD CFSDirector,

Research and Partnerships


10

The Botswana Institute for Technology Research and Innovation (BITRI) is a parastatal under the Ministry of Infrastructure Science and Technology, established in 2012 to conduct needs-based research and development in focused areas in accordance with national priorities.

The Mandate of BITRI is to identify and/or develop appropriate technology solutions in line with national priorities and needs of Batswana. The technologies will as much as possible maximize the use of local materials to ensure efficiency and affordability.

BITRI will harness its institutional capacity as well as collaborate with other organizations and institutions.

BITRI is situated at Maranyane House in Gaborone, Botswana. It has other campuses in Gaborone, Kanye and Palapye.

BITRI has four departments; Technologies, Natural Resources and Materials, Corporate Services and Research and Partnerships.

The priority thematic research areas are;

Technologies

• Electronics

• Energy

• ICT

Natural Resources and Materials

• Building Materials

• Environment & Climate Change

• Nanomaterials

Introduction


11

Building Materials Science Division focuses on needs based research and development of new innovative building materials from natural raw materials and from industrial by-products or waste. In addition the division focuses on the development of technologies for re-cycling building materials and Identifying new/innovative uses for conventional building materials and modifying conventional building materials to improve their performance. The Division also hand-holds companies, especially start-up companies, that take up the new/innovative building materials developed in-house or are certified by BITRI. Building materials will also develop algorithms for the selection, specification & quality control of materials for given applications, to meet the following requirements:-

• Cost-effectiveness of both production & application

• Desirability of chemical, physical & mechanical properties

• Environmental friendliness of processes of both production & application

• Aesthetic appeal

Divisions

Maun Sand

Morupule Fly Ash

KSSB bricks from Maun Sand

KSSB bricks from Ghanzi Sand

Sowa Fly Ash

Ghanzi Sand

Building Materials Science


12

Staff

During the reporting period the division had a staff complement of seven, comprising of one Lead Researcher, one Senior Researcher and five Junior Researchers.

Figure 1. Division staff complement

Project Implementation and Milestones

Kgalagadi Sand Building Block/Brick (KSBB) Technology - The BITRI Building Materials Team is making use of a technology to develop the Kgalagadi Sand Building Block and rolling out the less expensive but high quality product with much higher strength as a useful construction material. The Kgalagadi sand covers up to 75% of Botswana. The sand is a very abundant resource in the country that has potential to help the Botswana Government achieve its goals of sustainably improving the lives of all Batswana by providing an alternative to the high costs of construction materials.

During the reporting period the Division successfully prepared and submitted the bill of quantities (BOQ) for establishment of KSBB Depot in Khawa to Office of the President. An Expression of Interest for the establishment of Ordinary Portland cement- Fly Ash (OPC-FA) blending plant was published. In addition the Division submitted the proposed contract agreement document for production & supply of OPC-FA blend.

Challenges

The Division is incapacitated by the fact that there is only one Senior Researcher and no Researcher. This has led to constraints in the execution of the following functions:-

• Development of project-specific research and development (R&D) methodologies• Implementation of the project-specific R&D methodologies• Monitoring of the implementation of the project-specific R&D methodologies by Junior Researchers, in those cases where Junior Researchers can be deemed to be in a position to handle such• Mentorship – both vertically and horizontally

The planned schedule of activities for the next reporting period include the rolling out and launch of the KSBB Technology, Establishment of two commercial KSBB Depots, Investigation of potential of manufactured sand (crusher/quarry dust) for use as mortar/plaster sand, Installation and commissioning of OPC-FA blending plant in Palapye, establishment of second KSBB Depot and the preparation of construction drawings for the Building Materials Science laboratory.

Designation & Number

Lead

Resear

cher

5

1

1 Senior Researcher

0 Researcher

Total 7

Junior Researcher


13

Electronics and Information Communication Technology


14

Electronics and ICT Division focuses on research and development to provide technology solutions and next generation products in nine priority areas of Health, Education/Learning, Tourism, Agriculture, Transportation, Security & Forensics, Entertainment, Communication Infrastructures, and Energy.

Staff

During the reporting period the Division had a staff complement of 10, comprising of one Lead Researcher, one Senior Researcher and

five Junior Researchers. The Division also hosts 60 ICT Associates/Interns



During the reporting period the projects undertaken are as follows:

1. Intelligent Tutoring system - The project is about mobile and desktop based application which drills pupils on their subjects and simulates examination

2. Indigenous games for mobile applications - This project is part of BITRI Indigenous games for mobile devices. The beta version of Morabaraba was released in December 2014. Efforts are being made to improve on the last version.

3. Design and development of solar powered low cost PC - Low cost PC will be handy for primary and secondary schools even those at remote areas where electricity is a challenge. Connectivity to internet is envisaged as well

4. Wi-Fi integration to Seding® light - The SEDING® Street lighting is solar powered and can be used in different environments, therefore, integrating Wi-Fi will benefit remote area dwellers especially where electricity is a challenge as they will be able to access internet.


Lead

R

esea

rche

r

62

1

1Researcher

Lead

Resear

cher

Total 10

Junior Researcher


15

Challenges

Projects funding proved to be a challenge during the reporting period.

Envisaged Projects

The following are some of the envisaged projects for the 2015/2016 reporting period.

1. Dynamic Spectrum Wireless Broadband Network on Television White Space (TVWS)

There is growing recognition across the globe that dynamic spectrum sharing, especially on the television white spaces (TVWS), enabled by geo-location databases has significant potential to increase the availability and ubiquity of broadband access. This project represents the start of the collaboration between BITRI and CSIR of South Africa, and will focus on building the TVWS Experimental Network that will be used by BITRI in the long term to conduct research on dynamic spectrum access and sharing on the TVWS frequencies (Initial thoughts point to a centralized base station node connecting four (4) sites around Gaborone.

2. Health Informatics System for Botswana

In this project, a health informatics system for Botswana will be developed and piloted in some heath care facilities to:

• Accelerate the delivery of timely critical treatment for patients with chronic conditions

• Appropriately categorize patients requiring emergency according to their clinical condition and facilitate streaming of less urgent patients based on vital signs data, presented complaints and physical examination (triaging)

• Mitigate congestion of patient at health care facility and reduce patients’ overall time spent at the facility

• Monitor remotely life-threatening conditions

• To predict certain chronic ailments prior to occurrence

• Real-time monitoring of vital signs at hospital wards and at home

3. Education Informatics System for Botswana

The overall aim of this project is to explore fundamental techniques in business analytics and apply them in education and learning environments in order to tackle issues in the education system of Botswana. These may include lack of quality teaching aids, poor infrastructure, proper targeted extra-curriculum activities, low attendance, distribution of qualified teachers in rural and urban areas, poverty as well as other socio-economic factors. The project will study existing data and put in place data collection and mining techniques for collection of missing data, and apply data analytics for the purposes of guiding decision makers to plan for any necessary interventions in education system. The project will focus on the solution to incorporate data analytics hardware/software in a centralized database system for all government and private schools.


16

4. Intelligent Transport System

The project aims to develop a system to be deployed at traffic lights which in a nut shell will mimic policemen controlling traffic at traffic lights junctions. It is intended to facilitate smooth flow of traffic through its ‘intelligence’. It is also envisaged to replace expensive Botswana Power Cooperation(BPC) mains power with alternative low cost power.

5. Solar Powered and Intelligent Cattle Monitoring and Management System

This is an intelligent system proposal for cattle monitoring and management system for the entire Botswana and beyond. A number of factors has motivated this project including foot-and-mouth disease and matimela. Expected benefits include but not limited to:

• Monitoring livestock movement with health indicators

• Early intervention in case of diseases from vital sign parameters measured by the ear-tag

• See virtual boundaries for early signs of infections (such as foot-and-mouth) for more precise control of quarantine boundaries

• Benefit from theft control algorithms, where the server will automatically SMS alerts of anomalies

• Animal social network algorithms where an owner needs only one animal to arrive to know the last time stamp information about its companions, helping in traceability in case of theft and movement patterns

• Rural connectivity for all sorts of communication using the Zig-Bee network.


17

Energy Division focuses on needs based research, development and adoption of Energy technologies (renewable and non– renewable) for Botswana. In addition to research and development, the section also offers training and consultancy on energy technologies.

Staff

During the reporting period the Division had a staff complement of 5, comprising of one Senior Researcher, one Researcher and three Junior Researchers.


Clean energy technologies under consideration are as follows:

Solar Photovoltaic

Research will be carried on the following: different solar PV technologies, Efficiency of Solar PV modules, testing of different solar technologies and factors affecting the performance of PV modules in Botswana. Research will be further expanded to the following applications:

• Solar PV lighting

• Solar PV water pumping

• Solar PV traffic lights

• Solar Tracker

Energy


Total 5

Seni

or

Rese

arch

er

3

1

1 Researcher

Junior Researcher


18

Solar Thermal

In Botswana, most of the installed solar thermal technologies especially in rural applications are non-operational hence there is a need for further research in the area. In addition, further research in the following areas will also be done:

• Solar air conditioning systems

• Analysing performance of existing solar water heaters

• Development of new technology for solar water heating

• Modelling, analysis and testing of solar thermal technologies

Wind Energy

Despite the nominal wind energy in Botswana, this source of energy can be considered as a back up to solar systems where the cost of storage facilities is unbearable. Further research in the area will thus focus on the following:

• Wind mapping of Botswana (Wind speed and direction measurement)

• Wind Tracker

• Hybrid system technologies

• Investigation of technologies for water pumping using wind energy

• Investigation of technologies for power generation using wind energy

Non - Renewable Energy

Coal is an abundant natural resource in Botswana, most of which has only been used in heating in the mining industry as well as for generation of electricity. As such there is a need for further research on the following areas:

• Clean Coal Technologies

• Energy Efficiency and Demand side Management.

In addition to clean coal technologies, the section also focuses on Coal to liquid technologies (CTL), where coal is converted to fuels, thus there is a need for further research in the following:

• CTL technologies under different raw materials (e.g. tyres)

• Efficient operation of the CTL plant


19

Further research can be expanded into the conversion of waste materials into bio fuels. Waste bio mass materials under consideration can be as follows: Fire wood, dung cakes and agricultural waste. Research in the area will include the following:

• Bio fuels technologies

• Expansion of Bio-fuel technologies to power generation

• Environment friendly bio-fuels technologies


During the reporting period the projects undertaken were as follows:

SEDING® Solar Street Lighting

The project involves the use of intelligent solar PV street lights equipped with both motion sensors and day light switch mechanism. The SEDING® Street lighting is solar powered and environmentally friendly, highly reliable, adaptable and robust and can be used in different environments such as parking lots, gardens, farms (masimo), cattleposts (meraka), playing fields, clinics, gathering places like the kgotla and in numerous other locations.

As part of the roll out of the light, the Office of the President has contributed two million Pula as part of the Poverty Alleviation Programme for the installation of the lights in rural areas. The areas covered are Diphuduhudu and Bere with 65 and 100 lights respectively. The roll out is expected to extend to other areas in the 2015/16 reporting period. In addition to the Poverty Alleviation Programme, government institutions like Department of Building and Engineering Services are also acquiring the lights for use in areas of need.


20

Setting of Coal To Liquid (CTL) Laboratory

In collaboration with Pyro Carbon Energy (PCE), BITRI presents an opportunity to explore Botswana’s coal to add value to the country’s natural resource. Therefore, BITRI and PCE were working to set up a pilot plant for coal pyrolysis with the goal of value addition. The lab scale plant was successfully assembled and by the end of the reporting period, the following were still pending and due to be completed during 2015/16:

• Training on operation of CTL lab scale

• Assembling of the pilot scale CTL equipment

• Testing of the liquids produced from the pyrolysis process

• Acquiring of GCxGC equipment for testing of fuels and gases from the pyrolysis process

Challenges

Shortage of staff proved to be a challenge in the Division during the reporting period. The Division experienced a shortage of skilled manpower especially in the mechanical engineering field as currently there is no Mechanical Engineer Researcher. It is hoped that the recruitment of such will be done in the next reporting period.

Project Funding was also a challenge during the reporting period as there was not enough funding for research projects. This will however be addressed by collaborating with other institutions or companies so as to supplement the little funding available.

Envisaged Projects

The following are some of the envisaged projects for the 2015/2016 reporting period.

Renewable Energy Technologies

• Indoor and outdoor solar PV lighting

• Intelligent solar PV lighting

• Hybrid renewable energy technologies for rural applications

• Electricity generation from magnets

• Solar test bed

• Electricity generation from H2 fuels


21

Load Management System

• Load management for household

• Design & simulation for household applications

• Build & testing of Load management circuitry

• Incorporation of voltage control on the circuitry

• Research on house-hold smart metering system

• Load management system + smart meter

• Load management for industrial applications

Coal to Liquid Technologies

Project is a continuation of the 2014/15 project.

• Optimisation of the CTL technology

• Design suitable PID controllers for the CTL process control

• Modification & assembling of the CTL pilot plant

• Design back up power supply for the CTL plant

Environment and Climate Change Division focuses on research to understand the impact of climate change on Botswana’s agriculture,


22

water resources and health sectors; such as the risks of droughts, extreme weather events, increasing temperatures, vector borne disease out-breaks and changes in water availability.

The division focuses on three primary areas:

1. User-inspired research: Identify and conduct research in areas that will advance the decision support process for the agriculture, health and water sectors for a changing climate

2. Communications: Convey climate change and extreme weather risk, impacts, opportunities, and solutions clearly, succinctly, and in a way understood unambiguously by the end user.

3. Services: Prototype and develop new methods and products to quantify and exploit climate change opportunities and reduce risks.

Staff

During the reporting period the Division had a staff complement of 5, comprising of one Lead Researcher, one Senior Researcher and three Junior Researchers.


Projects, Milestones and activities

Development of Risk Management Strategies and Decision Support tools for Dryland Farmers in Desert areas of Botswana: Bobirwa and Kgalagadi districts

Managing risk and enhancing productivity through diversification and sustainable intensification is critical to securing and improving rural livelihoods under a food security challenged world in the midst of climate change. The main biophysical constraints are natural resource limitations and degradation, particularly low and highly variable rains water scarcity and encroaching desertification. Social and economic limitations, such as poor access to markets and inputs, weak governance and lack of information about alternative production technologies also limit the options available to farmers. Past efforts to address these constraints by focusing on individual components have either not been successful or are now facing a declining rate of impact, indicating the need for new integrated approaches to research for development of dryland systems.


Total 5

Lead

Re

sear

cher

3

1

1 Senior Researcher

Junior Researcher

Environment & Climate Change


23

The objective of the project is to evaluate sources of risk and management strategies currently employed by dryland smallholder farmers in Barolong and Tsabong Sub-District and develop participatory decision support tools to improve adaptation to climate change conditions.

Status of project

The project is 70% complete with the main challenges facing dryland farmers in these two places having been identified and the development of comprehensive intervention measures (Decision Support Systems) is in progress. Once finalized the (DSS) will be passed to stakeholders for validation and also how they could fit them in their existing programmes. This validation will be done through workshops starting August 2015.

Improving availability, access and use of climate information: Rainfall measurement through mobile networks

Climate variability and change are serious challenges to sustainable development in Africa. The current water crisis in the Greater Gaborone area is yet another reminder of how fluctuations in the climate can destroy lives and livelihoods. Nevertheless, building resilience against the negative impacts of climate and maximising the benefits from favourable conditions will require the design and implementation of effective climate risk management strategies. This cannot be accomplished without the availability of decision-relevant climate information as credible information about the past climate, recent trends and swings, likely future trajectories and associated impacts is very important for climate risk management.

A limitation to the provision of rainfall data at the desired spatial scales is sparse density of rain gauge stations in the country. Recent research has, however, shown how the sparseness of rain gauges can be dealt with using cellular networks. This project adopts and applies the findings of that research to Botswana to increase the density of rainfall data. The resulting rainfall data will form a critical component of climate change research and ultimately of the decision support system.

Status of project

The project could not commence in the just ended rainy season due to logistical problems with data providers (BTC). This bottleneck has since been sorted out and just awaiting the coming season commencing October/November 2015.

Downscaling climate change scenarios to spatial scales relevant for risk management and policy decisions

The need for climate change information at the regional and local scale is one of the central issues within the global change debate. As general circulation models suggest that the rising concentrations of greenhouse gases may have significant consequences for global climate, it remains less clear to what extent local meteorological processes are affected. Thus downscaling methods are necessary to bridge the gap between what climate modelers are currently able to provide and what impact assessors, risk assessment and management and policy require.

Purpose: To downscaling scale climate change scenarios to district, sub-district and extension area levels in order to aid in; policy making, climate change risk assessment and management, and development of adaptation options for climate change and extreme weather events


24

Methods: Evaluating various downscaling techniques and choosing the most appropriate one(s) for the country

Benefits: Relevant information on climate change impacts at country and sub country level to inform policy and intervention methods. Hence help with the assessment of climate change impacts on various sectors and subsequently adaptation planning to cope with future risk.

Status of project

The modalities of carrying out the analysis have since been agreed with University of Cape Town (UCT) and Senior Researcher Climate Change will be visiting UCT’s Climate Change Modelling Center in mid July (2015), for preliminary analysis.

Externally funded projects

BITRI in collaboration with Botswana College of Agriculture in engaged in an African Union Funded project “Developing decision support simulation tools based on scientifically validated indigenous/traditional and conventional knowledge for increasing agricultural production and food security in Africa in context of a changing climate”. The project is carried out through graduate students research and has resulted in the below thesis:

Yield gap analysis for rain-fed sorghum in Botswana: Towards improved food productivity and security

Status of project

The student has completed the research and will be graduating in October 2015. The product of the research will be packaged through knowledge management to be a tool within climate change adaptation DSS tool box.

ii Design of an optimum method for determining onset of the planting season for Southern Botswana: Contributing to climate change adaptation

Status of project

The student has completed the research and will be graduating in October 2015. The product of the research will be packaged through knowledge management to be a tool within climate change adaptation DSS tool box.

iii Impact of soil moisture variation at different growth stages on maize yield.


25

Status of project

Student doing statistical data analysis

Increasing the productivity of smallholder farms by use of fertilisers and plant density optimisation under rain-fed conditions on different soil types

Status of project

Student still doing course work

Decision making tools for management of sorghum stemborers when sorghum is intercropped with cowpeas

Status of project


The Effects of Planting Date and Population on Photoperiod Response of Sorghum Varieties.

Status of project


Envisaged project Activities

One of the envisioned projects in the next reporting period will be Evaluating Past Droughts, Floods, and Other Climatic Clues to Inform about Future Climates at both national and district levels. The purpose of this research is to determine the duration, severity of past mega droughts and also their predilection atmospheric systems and conditions. The research benefit is that it will serve as a basis for drought prediction and early warning systems and hence as input to drought planning and relief. Past drought mitigation strategies as an invaluable indigenous knowledge will complement with technology, hence increase communities’ adaptation and resilience.


26

The Nanomaterials Division is mandated with performing nanotechnology research aimed towards developing products, leveraging on the natural resources of the country, which address the needs of Batswana. By the end of the reporting period the Division was in the process of establishing a world-class Centre for Materials Science at BITRI, with state of the art laboratory facilities and materials analysis instrumentation that will serve the research needs as well as the commercial materials analysis needs of Botswana and the region across a variety of sectors. State of the art laboratory and pilot scale electrospinning units that will provide capacity to produce polymeric nanofiber-based materials were procured. These materials form the technological basis driving the research and product development efforts of the Division aimed at producing products that address the country’s needs in the programme areas of filtration and diagnostic technologies.

Staff

During the reporting period the Division had a staff complement of 22, comprising of one Lead Researcher, three Senior Researchers, nine Researchers and nine Junior Researchers.

Fugure 5. Division staff complement

Achievements and Milestones

During the reporting period, the Division contributed to BITRI’s stakeholder consultation exercise, by sending teams to every district of Botswana to engage stakeholders across a variety of sectors, from large corporations and government departments through to individuals. In this exercise the stakeholders’ challenges, needs and where they thought BITRI could assist, within the scope of its mandate were discussed. The exercise enabled the Division to build its programme areas and formulate its first research projects being:

• To develop a gravity-based water filter product to enable Batswana in remote areas to access safe drinking water

• To develop improved air filtration devices, such as face masks, based on nanofiber technology to reduce the dependence on the importation of such products in Botswana,

• To develop a rapid diagnostic tool for foot-and-mouth disease to help the agricultural sector better detect and control disease outbreaks.

Nanomaterials


Lead

R

esea

rche

r

9

31

9Researcher

Senio

r

Rese

arch

er

Total 22

Junior Researcher


27

The Division also worked to design the elements required for functional laboratory spaces, including laboratory furniture, fume hood and extraction systems, gas, purified water and air-conditioning systems and works are currently being implemented.

Challenges

One of the biggest challenges faced by the Division during the period was delays in getting the laboratories established according to schedule. The preceding works to partition Maranyane House into laboratory and office spaces had a significant time overrun that impacted on the starting of the works required to yield functional laboratories.

Envisaged projects for 2015-2016

The plan for the next reporting period is to commissioning the laboratory spaces at the Western end of Maranyane House sometimes in the first half of the next reporting period after which commissioning electrospinning and other instrumentation will commence. This will enable laboratory work to begin. Consideration will also be made to utilize other laboratory facilities in Botswana to enable limited initial experiments to begin.

The Division has received funding to start equipping the Centre for Materials Science. This will begin with the procurement of a state-of-the art scanning electron microscope, which is expected to be delivered in the second half of the next reporting period. Ultimately more than P50 million of materials analysis instrumentation will be procured for the Centre in the 2015-2016 year. This will assist research projects to yield product prototype outputs within the year, including a planned prototype Foot and Mouth diagnostic to assist in controlling the specific FMD serotypes affecting Botswana and neighboring countries, a low-cost gravity water filter able to remove microbiological contaminants for safe drinking water as well as cost-competitive filtration material aimed towards N95 dust mask incorporation for the mining sector.


28

Corporate Services

Corporate Services consist of a number of functions geared primarily at providing support roles within the organisation namely Finance, Human Resources, Information Technology, Office Support and Facilities.

The Finance function is charged with managing the organisations finances and procurement of goods and services while the Human Resources function is charged with the recruitment, selection, training, development and retention of human resources. Information Technology takes care of all the requisites Information Technology requirements whilst Office support and Facilities provide all the support for provision of office space and facilities management.

The 2014/15 financial year saw BITRI grow from the formative period of a staff compliment of fifteen employees, fourteen of whom were Corporate Services employees recruited and selected from the legacy research organisations of BOTEC and RIPCO (B) which were closed and a new research entity (BITRI) established. The Chief Executive Officer was the only other employee in the BITRI staff compliment.

BITRI engaged on a major recruitment drive to recruit mostly research staff with the result that by the end of the financial year there was a staff compliment of eighty six (86) with the majority of these being researchers.

The 2014/15 period was characterised by putting in place policies and procedures to provide guidance in the management of human and financial resources, procurement processes and management of information technology requirement of BITRI. BITRI was also engaged in the selective transfer of assets from the legacy organisations of BOTEC and RIPCO (B) resulting in BITRI acquiring property plant and equipment valued at P 78.4 million that it required for its operations. This period also saw BITRI engaging in a major drive to reconfigure the BITRI office space acquired from the legacy organisations to provide the required laboratory space for undertaking requisite research activities. Part of the building was reconfigured into a gymnasium while a number of houses were rehabilitated to house some members of staff.

A Staff Welfare Committee was also established to continuously explore ways in which staff welfare concerns could be addressed with the ultimate aim of having a happy, motivated and engaged workforce.


29

Performing high-quality technology research that delivers results with relevance and impact across areas of importance for Botswana is what drives BITRI each and every day. To achieve this requires a transparent and straightforward research and innovation governance environment. The Research and Partnerships Department (R&PD) through a consultative process developed a handbook of research and innovation policies and guidelines that should promote a high quality research environment and govern good research practice. The handbook includes the Policy on Responsible Conduct of Research, Guidelines on the Publication of Research, Guidelines on the Management of Research Data, Guidelines on Research Grant Administration, Policy on Conflict of Interest, Consultancy Policy, Policy on Indirect Cost of Research, Intellectual Property Policy and Ethics Policy. It also provides the terms of reference for the establishment of the BITRI Research and Innovation Committee.

BITRI hosted a number of local and international visitors and also had a number of meetings at international research organisations to discuss potential partnerships. The Vice President Energy and Climate and Director of International of the Danish Technological Institute (DTI) visited BITRI in October 2014 to discuss potential for collaboration in Energy, Building Materials and Nanotechnology between the two organisations. A reciprocal visit was made to DTI as well as the laboratories of Leitat Technological Centre in Barcelona, Spain for potential collaboration in nanomaterials, energy and the environment, as well as production technologies. Opportunities for production of a tailor made facility to produce nanoparticles and use of supercritical technologies was done through meetings with representatives of Top Industries in France and Adschin’s laboratory in Japan. BITRI Management met with the Managing Director of BCL Mining and Smelting to discuss potential of using the copper nickel waste material for the production of copper nanoparticples (CuNP) which has use in ink applications for print electronics.

Research and Partnerships


30

BITRI organised a one-day workshop in Gaborone for the Southern and East African Network of Analytical Chemists (SEANAC) on “Bridging the gap between academia and the industry.” The objectives of the workshop were to introduce SEANAC to the industry, forge synergy between academia and the industry as well as to establish the SEANAC Botswana Chapter that will be responsible for promoting Analytical Chemistry in Botswana. Stakeholders from the private industry, government departments, academic and research institutions agreed that it was necessary for academia and the industry to collaborate and establish a research agenda that would satisfy each party’s requirements. Several Analytical Chemists at BITRI are serving in the SEANAC Secretariat. BITRI also participated in the Organisation for the Prohibition of Chemical Weapons (OPCW) Programme - All African Nanoscience-Nanotechnology Initiative (AANNI) for African Member States to strengthen cooperation with Africa (“Africa Programme”) in South Africa. The programme was designed to enhance the participants’ capacity and knowledge in the field of nanotechnology, with particular emphasis on nanotechnology-based product development and its impact on society. The workshop also featured a presentation on nano-medicine and its toxicological effects on human health.

BITRI was one of the local partners in conjunction with the University of Botswana (UB) and the Swedish University of Agricultural Sciences (SLU) in hosting an African European Residential School for a group of 23 doctoral students. The group which came from different universities in Africa and Europe for an experiential learning opportunity on Urbanization, Climate Change, Livelihoods and Food Security spent two weeks in Botswana from 28thJuly – 8thAugust 2014 and had lectures and practical sessions on different aspects of the theme. The students were able to interact with BITRI researchers as well as other local and international researchers in the thematic area.


31

BITRI formally joined the Regional Research Alliance (RRA) in 2014 and provided input into the revised MOU that governs the collaborative partnership with the Council for Scientific Research (CSIR) of South Africa and the Scientific and Industrial Research and Development Council (SIRDC) of Zimbabwe. A team from CSIR visited BITRI in November 2014 to kick start collaborative discussions in the area of information, communication and technology (ICT) and a proposal was subsequently developed for collaboration between the two organisations. A return visit to CSIR was made in February 2015 by a team in the Research and Partnerships Department to benchmark on the support that CSIR provides in the areas of Communications, Technology Transfer, Research Management and Research Information.

BITRI initiated meetings with the Embassies of most European countries and the USA to introduce the organisation and assess how they might be able to facilitate collaboration and mobility of scientists and support staff at BITRI. Nine Embassies were visited including the High Commission of India, British High Commission, Embassy of the Federative Republic of Brazil, Embassy of the United States of America, Embassy of France, Embassy of the Federal Republic of Germany, the Russian Embassy, Embassy of Japan and Embassy of the Republic of China. The Embassies of the USA, France, India, China and the UK expressed strong interest in pursuing research cooperation opportunities. A number of initiatives within BITRI’s mandate including science communication, promotion of science and technology, coal to liquid technology (CTL) and CO2 emissions, ICT and climate change were identified as potential areas for follow up.

Communications and Partnerships

During the period 2014/15, the Communications Division participated in a co-creation exercise with employees and graphic designers around the world to finalize the BITRI logo and corporate colours of the organisation. Thereafter, the Unit produced the BITRI brand manual, which contains guidelines, rules and examples for upholding the value of the BITRI brand that is to be used by both internal and external clients. The BITRI philosophy Technology Solutions: From You, To US, For You was also developed. That completed, the Division proceeded to brand the BITRI headquarters, Maranyane House, as well as the Gaborone, Kanye and Palapye campuses including all BITRI vehicles. The BITRI five-year communications strategy was drafted and will be finalised through a consultation process with internal and external clients in 2015. In conjunction with the Information Technology (IT) Division, the BITRI website design was commissioned by a private company and was finalized by November 2014 and can be found at www.bitri.co.bw. BITRI also has social network sites on Facebook and LinkedIn and will be using these platforms to share information about its technology research to the public.

Following the extensive value gap analysis conducted around the country in the second quarter of the year, the Communications Division organized a consultation forum in Gaborone to engage with and share ideas with stakeholders on the problems identified and potential technology solutions that BITRI could implement that would create impact and improve quality of life for Batswana. Feedback from stakeholders was positive and they assured BITRI that it was on the right track.

BITRI initiated a public seminar series, which is one of the ways that the organization promotes science and technology for society by sharing outcomes and exchange research experiences on topics of current relevance to BITRI’s mandate. Seminars are held every two months and speakers locally and from all over the world are invited to present at these seminars. The inaugural seminar was held on 14thAugust 2014 and the guest presenter Professor Ellery, a renowned scholar and leading expert on the Okavango Delta and environmental issues in general, spoke on the topic Amazing Okavango - Understanding a wetland of local and global importance. The 2nd public seminar was held at the BITRI main campus on November 11th 2014 and the guest speaker was Dr Kamal Bhattacharya, IBM Distinguished Engineer and Vice President of IBM Research – Africa, based in Kenya. He presented on the topic Envisioning Africa through the Lenses of Science & Technology. The 3rd seminar was held on December 9th 2014 and the guest speaker was Ms Maria Ellis, CEO of BOCCIM who spoke on Putting the Business Perspective in BITRI’s Technology Solutions for the Private Sector in Botswana. BITRI and BOCCIM are currently in discussion to embark on an innovation private sector initiative that will benefit both organisations. The 4th public seminar was held on Feb 10th 2015 and the guest speaker was Professor Runner Majinda, an Organic Chemistry Lecturer from the University of Botswana. He presented on the topic Plants, Indigenous Knowledge, Nutrition and Health: The Connection.


32

BITRI has developed its 5-year Corporate Social Responsibility programme which is centered around the technology research that BITRI is involved in and the organizational commitment to stimulate greater interest about studying Science, Technology, Engineering and Mathematics (STEM) and pursuing careers in these fields. The BITRI CSR programme is aimed at the development of the next generation of scientists and engineers in Botswana. The main institutional CSR beneficiary project was identified as Kagiso Secondary School (KSS)

due to the school’s very poor performance in the 2014 secondary school examinations. The champion of the CSR programme, the BITRI CEO held consultations to get commitment and support from BITRI scientists to engage with the school through tutoring of students in science-related subjects and the pledging of teaching tools/equipment such as computers and related products to facilitate learning.

Resource Centre

The Resource Centre (RC) was reopened in October 2014 after the recruitment of the Resource Centre Assistant Coordinator and Resource Centre Coordinator. The immediate concern was in ensuring that the Resource Centre had information that is relevant to research at BITRI. A number of core resources were identified in consultation with the research departments. The Resource Centre


33

organized trial access to various databases including EBSCOhost, ProQuest, IEEE, IEEE Computer Society Digital Library, Research Africa, Science Direct, Royal Society of Chemistry, SciFinder and Nature Publishing Group to allow the researchers to get a feel of the resources and make informed choices on which ones to subscribe for. Relevant policies and guidelines were also produced to facilitate the management of the Centre’s collection and regulate its usage since the RC was also open to the general public. These included the Collection Management Policy, Code of Conduct for Customers and Membership Guidelines.

The other crucial project that began at the end of 2014 is the Resource Centre Refurbishment. The main aim was to transform the RC into a digital Knowledge Commons that is designed as a researcher-centred space that takes into consideration how researchers work and what resources and services they need to be successful. The space will promote interaction among researchers and also allow for individual quiet study, group work and two seminar rooms for meetings and workshops. There will no longer be a visible print collection as the remaining items will now be stored in the storeroom within the RC and print will only be purchased on demand by researchers. At the end of the trial access period, the future collection purchased will be predominately digital. The decision to transform the Resource Centre into a knowledge commons was taken having considered the changing information needs of a modern researchers; modern researchers demand the flexibility to access information whenever they need it. A digital environment is convenient; it has no physical boundaries, provides round the clock access, and allows multiple users to utilize one resource at the same time.

Technology Transfer

The Technology Transfer Office was established in March 2015 with the recruitment of the Technology Transfer Officer. The main responsibility of the office is to coordinate the implementation of the Intellectual Property policy, to protect BITRI’s interests in research contracts and agreements and to transfer BITRI’s research outputs into business opportunities. The specific activities that commenced were creating awareness about the Seding solar street lights and the Kalahari Sand Building Brick / Block Technology roll out in Botswana with various Government Ministries and other customers. In addition, a concept note on the creation of a technology transfer fund at BITRI was used as the basis to include this specific item in the 2016/2017 organisational budget.


34


35

FINANCIALS31 March 2015

CONTENTS Page

Directors’ responsibility statement 37

Directors’ approval of the financial statements 37

Independent auditor’s report 38

Statement of comprehensive income 39

Statement of financial position 40

Statement of changes in funds 41

Statement of cash flows 42

Significant accounting policies 43 - 46

Notes to the financial statements 47 - 55

The following schedule does not form part of the financial statements:

Detailed statement of comprehensive income 56


36

BOARD OF DIRECTORS Prof. Otlogetswe Totolo (Board Chairperson) Prof. Brian Mokopakgosi (Deputy Chairperson) Prof. Nelson Torto (Chief Executive Officer) Dr. Mpaphi Bonyongo (Board Member) Ms. Keitseng Monyatsi (Board Member) Dr. Martin Kebakile (Board Member) Mr. Edwin Elias (Board Member) Mr. Mao Segage (Board Member) Ms. Mercy Conlon (Board Member) Ms. Latelang Chakalisa (Board Member)

CHIEF EXECUTIVE OFFICERProf. Nelson Torto

PLACE OF BUSINESSMaranyane HousePlot 50654Machel DriveGaborone

BANKERBarclays Bank Botswana LimitedFirst National Bank Botswana Limited

INDEPENDENT AUDITORDeloitte & ToucheP O Box 778Gaborone

BOTSWANA INSTITUTE FOR TECHNOLOGY RESEARCH AND INNOVATIONCOMPANY LIMITED BY GUARANTEE - CO2012/8667GENERAL INFORMATION


37

Directors’ responsibility statementThe Directors are responsible for the preparation and fair presentation of the ifnancial statements of Botswana Institute for Technology Research and Innovation, comprising the statement of financial position as at 31 March 2015, and the statements of comprehensive income, changes in funds and cash flows for the year then ended, and the notes to the financial statements, which include a summary of significant accounting policies and other explanatory notes in accordance with International Financial Reporting Standards (“IFRS”).

The Directors are required to maintain adequate accounting records and are responsible for the content and integrity of and related financial information included in this report. It is their responsibility to ensure that the financial statements fairly present the state of affairs of the Institute as at the end of the financial year and the results of its operations and cash flows for the year then ended, in conformity with IFRS. The external auditors are engaged to express anindependent opinion on the annual financial statements.

The Directors’ responsibility includes: designing, implementing and maintaining internal control relevant to the preparation and fair presentation of these financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

The financial statements are prepared in accordance with IFRS and are based upon appropriate accounting policies consistently applied and supported by reasonable and prudent judgments and estimates.

The Directors’ responsibility also includes maintaining adequate accounting records and an effective system of risk management.

The Directors acknowledge that they are ultimately responsible for the system of internal financial control established by the Institute and place considerable importance on maintaining a strong control environment. To enable the Directors to meet these responsibilities, the Board sets standards for internal control aimed at reducing the risk of error or loss in a cost effective manner. The standards include the proper delegation of responsibilities within a clearly defined framework, effective accounting procedures and adequate segregation of duties to ensure an acceptable level of risk. These controls are monitored throughout the Institute and all employees are required to maintain the highest ethical standards in ensuring the Institute’s business is conducted in a manner that in all reasonable circumstances is above reproach. The focus of risk management in the Institute is on identifying, assessing, managing and monitoring all known forms of risk across the Institute. While operating risk cannot be fully eliminated, the Institute endeavours to minimise it by ensuring that appropriate infrastructure, controls, systems and ethical behaviour are applied and managed within predetermined procedures and constraints.

The Directors are of the opinion, based on the information and explanations given by management, that the system of internal control provides reasonable assurance that the financial records may be relied on for the preparation of the annual financial statements. However, any system of internal financial control can provide only reasonable, and not absolute, assurance against material misstatement or loss.

Although the board are primarily responsible for the financial affairs of the Institute, they are supported by the Institute’s external auditors. The auditors are responsible for reporting on whether the financial statements are fairly presented in accordance with the applicable financial reporting framework. The external auditors are responsible for independently reviewing and reporting on the Institute’s financial statements. The financial statements have been examined by the Institute’s external auditors and their report is presented on page 38.

Directors’ approval of the financial statementsThe financial statements set out on pages 39 to 55, which have been prepared on the going concern basis, were approved by the Board on and are signed on its behalf by:

................................................................................................... ...............................................................................................Board Chairman Director

DIRECTORS’ STATEMENT OF RESPONSIBILITY AND APPROVAL OF THE FINANCIAL STATEMENTS 31 March 2015


38


39

Notes 2015 2014 P PINCOMERevenue grant 2 45 518 139 14 973 817Interest income 3 94 043 19 497Other income 4 798 754 19 953Total income 46 410 936 15 013 267

EXPENSESStaff costs 30 844 364 3 619 129Other operating costs 13 269599 3 385 307Total expenses 44 113 963 7 004 436Surplus and total comprehensive surplus for the year 5 2 296 973 8 008 831

STATEMENT OF COMPREHENSIVE INCOMEfor the year ended 31 March 2015


40

Notes 2015 2014 P P

AssetsNon-current assetsProperty, plant and equipment 7 92 513 660 7 86 853Current AssetsInventories 8 2 760 820 -Trade and other receivables 9 460 483 2 60 278Cash and cash equivalents 10 45 387 094 19 781 047 48 608 397 20 041 325Total assets 141 122 057 20 828 178

Funds and LiabilitiesFundsAccumulated surplus 10 305 804 8 008 831

Non-current liabilitiesCapital grant 11 12 813 915 -Deferred revenue grant 12 75 732 695 - 88 546 609 -Current liabilitiesBank overdraft 10 820 810 94 777Deferred revenue grant 12 2 095 920 -Project funds 13 25 405 705 11 870 000Trade and other payables 14 6 046 144 357 687Provisions 15 7 901 064 496 883 42 269 643 12 819 347Total funds and liabilities 141 122 057 20 828 178

STATEMENT OF FINANCIAL POSITIONfor the year ended 31 March 2015


41

Accumulated Surplus P

Balance as at 1 July 2013 -Total comprehensive surplus for the year 8 008 831Balance as at 31 March 2014 8 008 831Total comprehensive surplus for the year 2 296 973Balance as at 30 June 2015 10 305 804

STATEMENT OF CHANGES IN FUNDSfor the year ended 31 March 2015


42

Notes 2015 2014 P P

CASH FLOWS FROM OPERATING ACTIVITIESSurplus for the year 2 296 973 8 008 831Adjustment for:Depreciation of property, plant and equipment 991 481 47 511Interest received (94 043 ) (19 497 )(Profit)/Loss on disposal of property, plant and equipment 5 922 -Cash inflow/(outflow) from operations before working capital changes 3 200 333 8 036 845Increase in inventories (2 760 820 ) -Increase/ (decrease) in trade and other receivables (200 205 ) (260 278 )Increase/(Decrease) in trade and other payables 5 688 457 357 687Increase/(Decrease) in provisions 7 404 181 496 883Increase in capital grants 12 813 915 -Increase in the deferred revenue grant 77 828 615 -Increase/(Decrease) in project funds 13 535 705 11 870 000Net cash (used in)/generated from operating activities 117 510 181 20 501 137

CASH FLOWS FROM INVESTING ACTIVITIESInterest received 94 043 19 497Purchase of property, plant and equipment (92 724 210 ) (834 364 )Proceeds from disposal of property, plant and equipment - -Net cash used in investing activities (92 630 167 ) (814 867 )

NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS 24 880 014 19 686 270CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 19 686 270 -CASH AND CASH EQUIVALENTS AT END OF YEAR 10 44 566 284 19 686 270Represented by:Cash on hand 45 387 094 19 781 047Bank overdraft (820 810 ) (94 777 ) 44 566 284 19 686 270

STATEMENT OF CASH FLOWSfor the year ended 31 March 2015


43

BASIS OF ACCOUNTING The financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS), and Interpretations adopted by the International Accounting Standards Board (IASB) and the International Reporting Interpretations Committee (IFRIC) of the IASB. The financial statements are presented in Botswana Pula, which is the Company’s functional and presentation currency. They have been prepared on the historical cost basis.

ADOPTION OF NEW AND REVISED STANDARDSIn the current year, the Company has adopted all the new and revised Standards issued by the International Accounting Standards Board (IASB) and the International Financial Interpretations Committee (IFRIC) of the IASB that are relevant to its operations and effective for annual reporting periods beginning on 1 July 2014. There have been no significant changes to the financial results of the company arising from the adoption of the revised standards and new interpretations. Other than improved presentation and disclosures, the adoption of these standards did not resulted in changes to the entities accounting policies.

The Company early adopted the following standard in the current year:

IFRS 15 - Revenue from Contacts with Customers Effective 01 January 2017

There were no significant changes to the financial results of the Company arising from the early adoption of this standard.The following standards adopted by the Company during the year did not have an effect on the Company’s financial statements:

IFRS 12 - Disclosure of Interests in Other Entities: Investment Entities Effective 01 January 2014IAS 27 - Separate Financial Statements: Investment Entities Effective 01 January 2014IAS 32 - Financial instruments: Offsetting financial assets and financial liabilities Effective 01 January 2014IAS 36 - (Amendment) recoverable amount disclosures for non-financial assets Effective 01 January 2014IFRIC 21 - Levies (recognition of liability for levies imposed by a Government in accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets) Effective 01 January 2014

At the date of authorisation of these financial statements, the following standards and interpretations were issued but not yet effective:

IFRS 9 - Financial Instruments: classification and measurement Effective 01 January 2017IFRS 9 - Financial Instruments - Hedge Accounting and amendments to IFRS 9, IFRS 7 and IAS 39 Effective 01 February 2015IFRS 9 - Financial Instruments (2014) Effective 01 January 2018IFRS 10 and IAS 28 (amendments) - Sale or Contribution of Assets between an Investor and its Associate or Joint Venture Effective 01 January 2016IFRS 11 (Amendments) - Accounting for Acquisitions of Interests in Joint Operations Effective 01 January 2016IAS 16 and IAS 38 (amendments) - Clarification of Acceptable Methods of Depreciation and Amortisation Effective 01 January 2016IAS 27 (amendments) - Equity Method in Separate Financial Statements Effective 01 January 2016

SIGNIFICANT ACCOUNTING POLICIESfor the year ended 31 March 2015


44

PROPERTY, PLANT AND EQUIPMENTThe buildings, which were donated to the Institute, were capitalised at their valuation in 2014. An equivalent amount wasrecognised in the deferred revenue grant.

Property, plant and equipment are stated at cost and depreciated as detailed below.

Depreciation is charged on a straight line basis so as to write off the depreciable amount of the asset over their estimated useful lives to their estimated residual values, using a method that reflects the pattern in which the assets’ future economic benefits are expected to be consumed by the Institute. Where significant parts of an item have different useful lives to the item itself, these parts are depreciated over their estimated useful lives. The methods of depreciation,

Buildings 2.00%Motor vehicles 20.00%Labotatory equipment 10.00%Computers 25.00%Furniture and fittings 14.00%Office equipment 14.00%Smartphones 50.00%Plant and machinery 10.00%

GRANTSGrants are recognised as income over the periods necessary to match them with the related costs which they are intended to compensate. Grants for compensation of expenses already incurred are recognised as income in the period in which they are receivable.

Capital grants relating to property, plant and equipment are treated as capital grants and released to the statement of comprehensive income over the expected useful lives of the assets.

FOREIGN CURRENCIESTransactions in currencies other than the entity’s functional currency (foreign currencies) are recorded at the rates of exchange prevailing at the dates of the transactions. At each statement of financial position date, monetary items denominated in foreign currencies are retranslated at the rates prevailing at the statement of financial position date.

Exchange differences are recognised in profit or loss in the period in which they arise.

PROJECT FUNDSProject funds relate to funding received for specific projects. These are deferred and included in current liabilities as projects funds. The related expenditure is netted off against the project funds received. Over expenditure which is not recoverable from the donors is recognised as expenditure in the profit or loss of the Institute.

CASH AND CASH EQUIVALENTSFor the purpose of the statement of cash flows, cash and cash equivalents comprise bank and cash balances

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)for the year ended 31 March 2015


45

RELATED PARTY TRANSACTIONS

Related parties are defined as those parties:a) directly, or indirectly through one or more intermediaries, the party:• controls, is controlled by, or is under common control with, the entity:• has an interest in the entity that gives it significant influence over the entity; orb) that are members of the key management personnel of the entity or its parent including close members of the family.

FINANCIAL INSTRUMENTSFinancial assetsInvestments are recognised and derecognised on trade date where the purchase or sale of an investment is under a contract whose terms require delivery of the investment within the time frame established by the market concerned, andare initially measured at fair value, plus transaction costs, except for those financial assets classified as at fair value through profit or loss (FVTPL), which are initially measured at fair value.

Financial assets are classified into the following specified categories: financial assets ‘at fair value through profit or loss’ (FVTPL), ‘held-to-maturity’ investments, ‘available-for-sale’ (AFS) financial assets and ‘loans and receivables’. The classification depends on the nature and purpose of the financial assets and is determined at the time of initial recognition.

The Institute’s principal financial assets are ‘receivables’.

Loans and receivablesTrade receivables, loans, and other receivables that have fixed or determinable payments that are not quoted in an activemarket are classified as loans and receivables. Loans and receivables are measured at amortised cost using the effective interest method, less any impairment. Interest income is recognised by applying the effective interest rate, except for short-term receivables when the recognition of interest would be immaterial.

Effective interest methodThe effective interest method is a method of calculating the amortised cost of a financial asset and of allocating interestincome over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts (including all fees on points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial asset, or, where appropriate, a shorter period. Income is recognised on an effective interest basis for debt instruments other than those financial assets designated as at FVTPL.

Derecognition of financial assetsThe Institute derecognises a financial asset only when the contractual rights to the cash flows from the asset expire; or it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity. If the Institute neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset, the Institute recognises its retained interest in the asset and an associated liability for amounts it may have to pay. If the Institute retains substantially all the risks and rewards of ownership of a transferred financial asset, the Institute continues to recognise the financial asset and also recognises a collateralised borrowing for the proceeds received.



46

FINANCIAL INSTRUMENTS (CONTINUED)Financial liabilities

Classification as debt or equity

Debt and equity instruments are classified as either financial liabilities or as equity in accordance with the substance ofthe contractual arrangement.

Financial liabilities

Financial liabilities are classified as either financial liabilities ‘at FVTPL’ or ‘other financial liabilities’. The Centre’s principal financial liabilities are ‘other financial liabilities’.

Other financial liabilities

Other financial liabilities, including trade and other payables, are initially measured at fair value, net of transaction costs.Other financial liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis. The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the financial liability, or, where appropriate, a shorter period.

Derecognition of financial liabilities

The Institute derecognises financial liabilities when, and only when, the Insitute’s obligations are discharged, cancelled or they expire.

CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The following are the key assumptions concerning the future, and other key sources of estimation uncertainty at the statement of financial position, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year:

Useful lives of plant and equipment and residual values

The Institute reviews the estimated useful lives of plant and equipment at the end of each annual reporting period.

Other estimates made

The Institute also makes estimates in the calculation of the provision for doubtful debts.



47

1 NATURE OF BUSINESS

Botswana Institute for Technology Research and Innovation is an entity with a registration number CO2012/8667. The primary objective is to conduct needs based research and development in focused areas of national interest and deliver high standard technology solutions that maximize the beneficiation of local resources through both institutional and collaborative programmes.

2015 2014 P P

2 REVENUE GRANT

Grants received 44 837 430 14 973 817Transfer from Deffered revenue grant 600 987 -Armotisation of Capital grants 79 722 - 45 518 139 14 973 817

3 INTEREST INCOMEBank deposits 94 043 19 497

4 OTHER INCOMEOther income 178 597 19 953Rental income 620 157 - 798 754 19 953

5 SURPLUS FOR THE YEARSurplus for the year is stated after taking the following into account:Auditors’ remuneration- current provision 200 000 80 000Depreciation of property, plant and equipment 911 882 47 511Key management’s remuneration 3 870 010 1 466 465Insurance 418 753 -

6 TAXATIONThe Institute has estimated assessed losses amounting to P13 184 003 (2014: P8 008 831). Thesehave not been recognised as a deferred tax asset as the Institute does not anticipate generatingtaxable income to recover these losses. Under the provisions of the Income Tax Act (Chapter 52:01)Second Schedule, the Institute is exempt from income tax”

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2015


48

7 PROPERTY, PLANT AND EQUIPMENT Smartphones Plant and Furniture Laboratory & Motor Buildings Machinery Computers & Fittings Equipment Cellphones Vehicles Total P P P P P P P P

COSTAt 1 July 2013 - - - - - - - -Additions - - 163 412 65 755 - 18 297 586 900 834 364Disposals - - - - - - - -At 31 March 2014 - - 163 412 65 755 - 18 297 586 900 834 364Additions 77 060 693 1 370 575 1 451 108 4 31 329 9 480 902 - 2 929 602 92 724 210Disposals - - (5 922 ) - - - - (5 922 )At 31 March 2015 77 060 693 1 370 575 1 608 598 4 97 084 9 480 902 18 297 3 516 502 93 552 652

ACCUMULATED DEPRECIATIONAt 1 July 2013 - - - - - - - -Charge during the year - - 21 962 1 986 - 3 999 19 563 47 511Disposals - - - - - - - -At 31 March 2014 - - 21 962 1 986 - 3 999 19 563 47 511Charge during the year 506 199 77 377 164 368 19 356 - 9 149 215 033 991 481Disposals - - - - - - - -At 31 March 2015 506 199 77 377 186 330 21 342 - 13 148 234 596 1 038 992

Net book value31 March 2014 - - 141 450 63 769 - 14 298 567 337 786 853

Net book value31 March 2015 76 554 494 1 293 199 1 422 268 4 75 742 9 480 902 5 149 3 281 906 92 513 660

The original buildings, which were donated to the Institute, were capitalised at their valuation in 2015. An equivalent amount was recognised in the deferred revenue grant reserve.

NOTES TO THE FINANCIAL STATEMENTS (continued)for the year ended 31 March 2015


49

7 PROPERTY, PLANT AND EQUIPMENT Smartphones Plant and Furniture Laboratory & Motor Buildings Machinery Computers & Fittings Equipment Cellphones Vehicles Total P P P P P P P P

COSTAt 1 July 2013 - - - - - - - -Additions - - 163 412 65 755 - 18 297 586 900 834 364Disposals - - - - - - - -At 31 March 2014 - - 163 412 65 755 - 18 297 586 900 834 364Additions 77 060 693 1 370 575 1 451 108 4 31 329 9 480 902 - 2 929 602 92 724 210Disposals - - (5 922 ) - - - - (5 922 )At 31 March 2015 77 060 693 1 370 575 1 608 598 4 97 084 9 480 902 18 297 3 516 502 93 552 652

ACCUMULATED DEPRECIATIONAt 1 July 2013 - - - - - - - -Charge during the year - - 21 962 1 986 - 3 999 19 563 47 511Disposals - - - - - - - -At 31 March 2014 - - 21 962 1 986 - 3 999 19 563 47 511Charge during the year 506 199 77 377 164 368 19 356 - 9 149 215 033 991 481Disposals - - - - - - - -At 31 March 2015 506 199 77 377 186 330 21 342 - 13 148 234 596 1 038 992

Net book value31 March 2014 - - 141 450 63 769 - 14 298 567 337 786 853

Net book value31 March 2015 76 554 494 1 293 199 1 422 268 4 75 742 9 480 902 5 149 3 281 906 92 513 660

The original buildings, which were donated to the Institute, were capitalised at their valuation in 2015. An equivalent amount was recognised in the deferred revenue grant reserve.


50

2015 2014 P P

8 INVENTORIESWork in progress 2 760 820 -

Work in progress relates to the Sedding Lights project which had not been completed at year end. No inventories are encumbered or pledged as security. The cost of inventories recognised as an expense during the year was P358,751. There is no cost of inventories recognised as an expense in cost of sales in respect of write-downs of inventory to net realisable value.

9 TRADE AND OTHER RECEIVABLESTrade receivables 131 195 -Staff advances 4 000 -Other receivables 325 288 260 278 460 483 260 278Provision for doubtful debts - - 460 483 260 278

Trade receivables comprise rental income billed to Botswana Innovation Hub for the last quarter which had not been paid. Management considers these amounts to be recoverable based on past performance.

10 CASH AND CASH EQUIVALENTSCall account 45 384 651 19 781 047Petty cash 2 443 - 45 387 094 19 781 047Overdraft (820 810 ) (94 777 ) 44 566 284 19 686 270

BITRIBITRI places high regard on its human capital, so to ensure a happy, motivated and engaged...

Documents

Transcript of BITRIBITRI places high regard on its human capital, so to ensure a happy, motivated and engaged...